78R9455 SGA-F

By:  Howard                                                       H.B. No. 3571


A BILL TO BE ENTITLED
AN ACT
relating to the assumption of road utility district authority by the Fort Bend County Levee Improvement District No. 15, including the authority to impose taxes and issue bonds. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. DEFINITIONS. In this Act: (1) "Board" means the board of directors of the district. (2) "City" means the city of Sugar Land, Texas, or the city of Missouri City, Texas, depending on the location of the project. (3) "District" means the Fort Bend County Levee Improvement District No. 15. (4) "Project" means a project under Section 6 of this Act. SECTION 2. AUTHORITY. The district is granted road utility district authority under Section 52(b)(3), Article III, Texas Constitution, and Chapter 441, Transportation Code, including the authority to repair and maintain streets and roadways in the district. In addition, the district has the powers under Section 451.065, Transportation Code, of a metropolitan rapid transit authority confirmed before July 1, 1985, except that Subsection (d) of that section does not apply to the district. SECTION 3. FINDING OF BENEFIT AND PUBLIC PURPOSE. (a) The district is created to serve a public use and benefit. (b) All of the land and other property included within the boundaries of the district will be benefited by the works and projects that are to be accomplished by the district under the powers conferred by Section 52, Article III, Texas Constitution. SECTION 4. POWERS. (a) The district retains all the rights, powers, privileges, authority, duties, and functions that it had before the effective date of this Act. (b) The district has all of the rights, powers, privileges, authority, duties, and functions, including the authority to impose taxes, conferred by the general law of this state, including Chapter 441, Transportation Code, applicable to road utility districts created under Section 52, Article III, Texas Constitution, to the extent those provisions can be made applicable. SECTION 5. APPLICABILITY OF OTHER LAW. (a) If any provision of general law relating to road utility districts is in conflict or inconsistent with this Act or Chapter 49 or 57, Water Code, this Act and Chapters 49 and 57, Water Code, prevail. (b) This Act prevails over any provision of general law that is in conflict or inconsistent with this Act, including any provision of Chapter 49 or 57, Water Code. (c) Subchapters B, C, D, H, K, and L, Chapter 441, Transportation Code, do not apply to the district. SECTION 6. PROJECTS. (a) The district may construct, acquire, improve, maintain, and operate macadamized, graveled, or paved roads and turnpikes or improvements in aid of those roads or turnpikes, within the boundaries of the district, to the extent authorized by Section 52, Article III, Texas Constitution. (b) The works, facilities, or improvements may include drainage or landscaping improvements and lights, signs, or signals that are incidental to those roads and turnpikes and their construction, maintenance, or operation. (c) A project authorized by this section must meet all applicable construction standards, zoning and subdivision requirements, and regulatory ordinances of the city. (d) On completion of any project authorized by this Act, the district, with the consent of the city, may convey that project to the city, provided the conveyance is free of all indebtedness of the district. If the city becomes the owner of a project, the city is responsible for all future maintenance and upkeep, and the district has no further responsibility for the project or its maintenance or upkeep. SECTION 7. JOINT PROJECTS. (a) A district contract for a joint project with a state agency, political subdivision, or corporation created under Chapter 431, Transportation Code, may: (1) provide for joint payment of the costs of the project; and (2) require the state agency, political subdivision, or corporation to design, construct, or improve a project, including landscaping for the project, as provided by the contract. (b) The district may issue bonds to pay all or part of the costs of the project and any other payments required under the contract. SECTION 8. BONDS AND OTHER OBLIGATIONS. (a) The district may issue bonds, notes, and other obligations secured by revenues or contract payments from any lawful source other than ad valorem taxation without an election. (b) The district may issue bonds, notes, and other obligations under Section 52(b)(3), Article III, Texas Constitution, secured in whole or in part by ad valorem taxation and impose ad valorem taxes to pay the principal of and interest on those obligations only if the issuance is approved by a two-thirds majority of the voters of the district voting at an election called and held for that purpose. SECTION 9. MAINTENANCE TAX. The district may impose a maintenance tax in an amount not to exceed 25 cents on each $100 of assessed valuation of property in the district to be used for any authorized purpose of the district if the authority to impose the tax is approved by a majority of the voters of the district voting at an election on that proposition. SECTION 10. DISTRICT CONTRACTS. The district may make contracts in the same manner as a road utility district under Subchapter E, Chapter 441, Transportation Code, except that competitive bidding for a contract is governed by Section 49.273, Water Code. SECTION 11. NONPROFIT CORPORATION. (a) The board by resolution may authorize the creation of a nonprofit corporation to assist and act on behalf of the district in implementing a project or providing a service authorized by this Act. (b) The board shall appoint the board of directors of a nonprofit corporation created under this section. The board of directors of the nonprofit corporation shall serve in the same manner as the board of directors of a local government corporation created under Chapter 431, Transportation Code. (c) A nonprofit corporation created under this section has the powers of and is considered for purposes of this Act to be a local government corporation created under Chapter 431, Transportation Code. (d) A nonprofit corporation created under this section may implement any project and provide any services authorized by this Act. SECTION 12. SUIT AND JUDGMENT. (a) The district, through its board and in the name of the district, may sue and be sued in a state court. Process in a suit may be served on the presiding officer of the board. (b) A state court shall take judicial notice of the creation of the board. (c) A state court that renders a money judgment against the district may require the board to pay the judgment from money in the district depository that is not dedicated to the payment of district debt. (d) If the voters of the district have specifically authorized the imposition of taxes for the payment of judgments, the court may issue a writ of mandamus to compel the district to impose the tax to pay the judgment immediately in a lump sum or over time in installments. (e) A court may not require the board to pay a judgment rendered on a breach of contract claim by a contractor if the district or a third party has paid the contractor the bid price of the contract plus any change orders approved by the board in writing. SECTION 13. FINDINGS RELATED TO PROCEDURAL REQUIREMENTS. (a) The legal notice of the intention to introduce this Act, setting forth the general substance of this Act, has been published as provided by law, and the notice and a copy of this Act have been furnished to all persons, agencies, officials, or entities to which they are required to be furnished under Section 59, Article XVI, Texas Constitution, and Chapter 313, Government Code. (b) The governor has submitted the notice and Act to the Texas Commission on Environmental Quality. (c) The Texas Commission on Environmental Quality has filed its recommendations relating to this Act with the governor, the lieutenant governor, and the speaker of the house of representatives within the required time. (d) All requirements of the constitution and laws of this state and the rules and procedures of the legislature with respect to the notice, introduction, and passage of this Act are fulfilled and accomplished. SECTION 14. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2003.